Oregon SB 906 Change Notification
On the 28th of May, Oregon Governor Kotek signed Oregon Senate Bill 906, which requires employers to provide employees with a detailed written explanation of codes used for pay rates and deductions, and other key information laid out in employee pay statements.
Effective Date
This new law becomes effective January 1st, 2026.
Oregon Senate Bill 906 Implication to Stakeholders
The Oregon Bureau of Labor and Industries is to provide a model written notice document for employers to follow that will include commonly used statewide deductions. The notice will be available in English and Spanish at minimum. The Bureau may issue civil penalties of $500 against any person who fails to comply with the law. While pay statements are a long standing area of law, they are still not required in every state and elements required to be included vary from state to state. A robust pay statement assists employers with their good faith endeavors. This new Oregon law is part of a larger overall effort to ensure employers comply with wage theft measures.
Recommended Action
Employers should include a notice containing all the required elements listed on the model notice plus any other necessary information at the time of hire to all new employees. Additionally, employees should make the information available to current employees via email, posting to their intranet, or at a central location where postings are displayed.
The full language of the signed bill can be found here: https://olis.oregonlegislature.gov/liz/2025R1/Downloads/MeasureDocument/SB906/Enrolled
We will continue to monitor the regulatory landscape for changes affecting your organization.